Horizontal Brand Extension and Customer perception

Abstract: Company use different method for extended their business to different market and to different segment. They use different method; brand extension is one of popular strategy for extension of business. Brand extension does not become successful for every brand, it is very risky. The purpose of this thesis is to study horizontal brand extension and customer perception. We will discuss horizontal brand extension and its two main types franchise brand extension and line extension. Brand extension is less expensive as compared to new product development in the market. Some time failure of brand extension effect the image of parent brand. Consumer perception is very important for extension of market because success and failure of extended brand depend on perception of consumer and their attitudes toward the extended brand. We use three different focus group and eight (8) individual interviews for to come to know about the consumer perception about horizontal brand extension and its effect on parent brand. Key words: Brand Image, Brand extension, Horizontal brand extension, consumer perception, Loyalty